We published a forecast on 29 July in daily regarding Euro versus U.S dollar to take a dive towards 1.1818 with our stop loss at 1.1972. The pair reached 1.19096 where our daily exponential moving average 50 is situated and then took a bearish reversal as expected and explained in our previous analysis. Currently the pair is above our daily pivot which is located at 1.18641 but hadnt generated the strength enough to reach towards it weekly resistance at 1.19270. In four hourly chart the pair is struggling to break out of its intraday exponential moving averages 8, 13 and 21 while exponential moving average 200 has still been acting as an achor to EURUSD. 

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES:

The relative strength index in four hourly chart reached for overbought conditions but then the gains were reverted by not enough stimulus being provided to EURUSD. From certain strategies such as bookmap, using heat wave mapping and ice berg strategies we get to find out that the commitment of traders data is showing signs of bullish entries by the retail traders - maybe out of fear or watching dollars weakness in the market. The area shows high supply but low in demand which would decrease the factors of favors to bulls in order to lift up euro versus U.S dollar. We also have some important events this week like U.S non farm pay rolls with professionals expecting the statistics to provide more strength to U.S dollar, ultimately weakening Euro. 

EURUSD H4

Aug 02 2021